News / Economy

US Unemployment Benefits Set to Run Out

Out-of-work Americans will lose federal assistance unless Congress extends it

More than a year into a weak economic recovery, the unemployment rate continues to hover near 10 percent.
More than a year into a weak economic recovery, the unemployment rate continues to hover near 10 percent.

Hundreds of thousands of Americans will see their federal unemployment benefits expire this week, and millions more by the end of the year, unless Congress acts to extend them.

The payments are designed to provide the jobless with just enough temporary income to cover basic needs while they look for work. Congress has repeatedly prolonged the duration of those payments amid high U.S. unemployment but another extension is far from assured.

More than a year into a weak economic recovery, the unemployment rate continues to hover near 10 percent. Millions of Americans have been without work for a year or more, taking a severe financial - and often emotional - blow.

In Pennsylvania, unemployed sales manager Gregg Rosen has cut back on everything from food to medication, and can no longer help support his disabled mother.

"That devastates me," he said.

Many idled workers are frustrated.

"I've been out looking for work every day, and I'm just not getting anywhere," said one unemployed worker in Rhode Island.

President Barack Obama has consistently pressed Congress to extend federal benefits for the unemployed. "We've got a responsibility to help them make ends meet and support their families even as they are looking for another job," he said.

But Capitol Hill is bracing for a repeat of the last extension battle in July, when Republicans objected to further benefits unless other federal spending was cut by an equal amount.

"The bill before us today is the ninth extension of unemployment benefits since mid-2008," said Rep. Charles Boustany, a Louisiana Republican. "And with the exception of just one bill last November, every one of those extensions was not paid for. That's a total of $135 billion added to our $14 trillion debt."

Analysts note that unemployment benefits are meant to be temporary, but the severity of the recession and the slow pace of the economic recovery have led many Americans to rely on the program for a prolonged period.

"People say 'You do not want to discourage people from looking for work by giving them too generous an income replacement,'" says Eric Toder, an economist and former U.S. Treasury official. "I think the feeling is now that there isn't 10 percent unemployment because people aren't looking for work. There is high unemployment because there aren't jobs."

Toder adds that the unemployed usually spend all the benefits they receive, providing stimulus to the economy as a whole.

Extending unemployment benefits is but one of many items Democrats hope to achieve in a brief end-of-year congressional session. Passage is considered likely in the House of Representatives, but questionable in the Senate, where Republicans can use procedural motions to block legislation.

Some jobless workers have mounted protests in the past to press for an extension of benefits, and say they stand ready to do so again - even at a cost to their pride.

"You know I'm not used to this," said one unemployed woman who was among the protesters. "I don't want to be begging people."

Most economists expect the unemployment rate to remain above nine percent for months to come.

You May Like

IS Militants Release 49 Turkish Hostages

Turkey's state-run Anadolu news agency reports that no ransom was paid and no conditions accepted for the hostages' release; few details of the release are known More

Photogallery IS Attacks Send Thousands of Syrian Kurds Fleeing to Turkey

Syrian Observatory for Human Rights says more than 300 Kurdish fighters crossed into Syria from Turkey to defend a Kurdish area from attack by the Islamic militants More

Sierra Leone's Ebola Lockdown Continues

Thousands of health workers are going door to door in the West African country of 6 million, informing people of how to avoid Ebola, handing out soap More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Migrants Caught in No-Man's Land Called Calaisi
X
Lisa Bryant
September 19, 2014 5:04 PM
The deaths of hundreds of migrants in the Mediterranean this week has only recast the spotlight on the perils of reaching Europe. And for those forunate enough to reach a place like Calais, France, only find that their problems aren't over. Lisa Bryant has the story.
Video

Video Migrants Caught in No-Man's Land Called Calais

The deaths of hundreds of migrants in the Mediterranean this week has only recast the spotlight on the perils of reaching Europe. And for those forunate enough to reach a place like Calais, France, only find that their problems aren't over. Lisa Bryant has the story.
Video

Video Westgate Siege Anniversary Brings Back Painful Memories

One year after it happened, the survivors of the terror attack on Nairobi's Westgate Shopping Mall still cannot shake the images of that tragic incident. For VOA, Mohammed Yusuf tells the story of victims still waiting for the answer to the question 'how could this happen?'
Video

Video Militant Assault in Syria Displaces Thousands of Kurds

A major assault by Islamic State militants on Kurds in Syria has sent a wave of new refugees to the Turkish border, where they were stopped by Turkish border security. Turkey is already hosting about 700,000 Syrian refugees who fled the civil war between the government and the opposition. But the government in Ankara has a history of strained relations with Turkey's Kurdish minority. Zlatica Hoke reports Turkey is asking for international help.
Video

Video CERN Accelerator Back in Business

The long upgrade of the Large Hadron Collider is over. The scientific instrument responsible for the discovery of the Higgs boson -- the so-called "God particle" -- is being brought up to speed in time for this month's 60th anniversary of the European Organization for Nuclear Research, known by its French acronym CERN. Physicists hope the accelerator will help them uncover more secrets about the origins of the universe. VOA’s George Putic reports.
Video

Video Whaling Summit Votes to Uphold Ban on Japan Whale Hunt

The International Whaling Commission, meeting in Slovenia, has voted to uphold a court ruling banning Japan from hunting whales in the Antarctic Ocean. Conservationists hailed the ruling as a victory, but Tokyo says it will submit revised plans for a whale hunt in 2015. Henry Ridgwell reports from London.
Video

Video Russian Economy Reeling After New Western Sanctions

A new wave of Western sanctions is hitting Russia’s economy hard. State-owned energy firms continue to bleed profits and Russia’s national currency plunged to a new low this week after the U.S. and the European Union announced new sanctions to punish Russia's aggressive stance in eastern Ukraine. But as Mil Arcega reports, the sanctions could also prove costly for European and American companies.
Video

Video Belgian Researchers Discover Way to Block Cancer Metastasis

Cancer remains one of the deadliest diseases, despite many new methods to combat it. Modern medicine has treatments to prevent the growth of primary tumor cells. But most cancer deaths are caused by metastasis, the stage when primary tumor cells change and move to other parts of the body. A team of Belgian scientists says it has found a way to prevent that process. Zlatica Hoke has more.
Video

Video Mogadishu's Flood of Foreign Workers Leaves Somalis Out of Work

Unemployment and conflict has forced many young Somalians out of the country in search of a better life. But a newfound stability in the once-lawless nation has created hope — and jobs — which, some say, are too often being filled by foreigners. Abdulaziz Billow reports from Mogadishu.
Video

Video A Dinosaur Fit for Land and Water

Residents and tourists in Washington D.C. can now examine a life-size replica of an unusual dinosaur that lived almost a hundred million years ago in northern Africa. Scientists say studying the behemoth named Spinosaurus helps them better understand how some prehistoric animals adapted to life on land and in water. The Spinosaurus replica is on display at the National Geographic museum. VOA’s George Putic has more.
Video

Video Iraqi Kurdistan Church Helps Christian Children Cope find shelter in churches in the Kurdish capital, Irbil

In the past six weeks, tens of thousands of Iraqi Christians have been forced to flee their homes by Islamic State militants and find shelter in churches in the Kurdish capital, Irbil. Despite U.S. airstrikes in the region, the prospect of people returning home is still very low and concerns are starting to grow over the impact this is having on the displaced youth. Sebastian Meyer reports from Irbil on how one church is coping.
Video

Video NASA Picks Boeing, SpaceX to Carry Astronauts Into Space

The U.S. space agency, NASA, has chosen Boeing and SpaceX companies to build the next generation of spacecraft that will carry U.S. astronauts to the International Space Station by the year 2017. The deal with private industry enables NASA to end its dependence on Russia to send space crews into low Earth orbit and back. Zlatica Hoke has more.
Video

Video Future of Ukrainian Former President's Estate Uncertain

More than six months after Ukraine's former President Viktor Yanukovych fled revolution to Russia, authorities have yet to gain control of his palatial estate. Protesters occupy the grounds and opened it to tourists but they are also refusing to turn it over to the state. VOA's Daniel Schearf reports from Mezhigirya, just north of Kyiv.


Carnage and mayhem are part of daily life in northern Nigeria, the result of a terror campaign by the Islamist group Boko Haram. Fears are growing that Nigeria’s government may not know how to counter it, and may be making things worse. More

AppleAndroid

World Currencies

EUR
USD
0.7768
JPY
USD
108.84
GBP
USD
0.6124
CAD
USD
1.0999
INR
USD
61.042

Rates may not be current.